H1B Petitions from Indian IT Giants Drop in 2025: What’s Behind the Decline?

H1B Petitions from Indian IT Giants Drop in 2025: What’s Behind the Decline?

In 2025, a noticeable decline in H1B visa petitions from major Indian IT firms, like Tata Consultancy Services (TCS) and HCL Technologies, has drawn attention to changing trends in the US immigration landscape. This drop signals a shift in how Indian companies approach hiring for US-based roles and reflects the evolving nature of both US immigration policies and the global tech industry.

The Changing Landscape of H1B Petitions

The H1B visa, a critical pathway for skilled foreign workers to secure jobs in the US tech sector, has historically been dominated by Indian outsourcing giants. However, recent data shows a marked decrease in the number of petitions filed by companies such as TCS and HCL in 2025. This drop in demand raises questions about the future of US immigration and the strategies employed by large firms.

Factors Driving the Decline

Tougher US Immigration Policies
The Trump-era policies, which focused on limiting immigration and promoting “America First” agendas, have had a lasting impact on the H1B program. Increased scrutiny, longer processing times, and stricter enforcement have made it more difficult for Indian companies to secure visas for their employees.

Shift Toward Domestic Talent
Many US companies are increasingly focusing on hiring local talent to meet the growing demand for tech workers, driven by the post-pandemic boom. This shift is partly due to the US government’s emphasis on boosting domestic job opportunities, creating less incentive for outsourcing.

Growth of Remote Work
With the rise of remote work, the necessity of having workers physically present in the US has diminished. Companies can now access global talent without the complexity of securing H1B visas, which may be contributing to the decline in petitions.

Economic Pressures and Outsourcing Models
Indian IT firms are also adapting their outsourcing models. Instead of sending workers on H1B visas to the US, many are investing in local offices or leveraging global talent pools to fulfill US clients’ needs. This strategic shift reduces the reliance on H1B visas.

Implications for the Tech Industry

The drop in H1B petitions may have long-term consequences for both Indian companies and the US tech ecosystem. For Indian firms, fewer visa approvals mean they may need to reassess their business models and look for alternative ways to deliver services to US clients. For the US, this shift may result in increased competition for the shrinking pool of H1B visas, leading to higher demand for highly skilled foreign workers.

Conclusion